It was down by 145,000, or 0.5%, over the year.
The employment rate for people aged 16 to 64 was estimated at 75.1% between May and July 2026.
This was 0.1% lower than a year earlier and largely unchanged from the previous quarter.
The unemployment rate for people aged 16 and over stood at 4.9%.
This was 0.2% higher than a year earlier and largely unchanged over the quarter.
The economic inactivity rate for people aged 16 to 64 stood at 20.9%, down by 0.1% over both the year and the quarter.
The claimant count increased over the month and year to an estimated 1.692 million in August.
Regular pay excluding bonuses grew by 3.5% between May and July 2026.
Total earnings including bonuses increased by 3.9%, down from 4.2% in the previous three-month period.
Regular earnings increased by 6.3% in the public sector and 2.9% in the private sector.
After adjusting for CPIH inflation, regular pay rose by 0.6% and total pay increased by 0.9%. Using CPI inflation, regular pay rose by 0.8% and total pay increased by 1.1%.
The number of workforce jobs was estimated at 36.7 million in June 2026, down by 48,000, or 0.1%, from March but up by 60,000, or 0.2%, over the year.
Public sector employment was estimated at 6.21 million in June.
This was up by 11,000, or 0.2%, from March and by 33,000, or 0.5%, from June 2025.
Reaction:
James Cockett, senior labour market economist at the CIPD:
“Today’s figures lay bare just how challenging conditions have become for employers. Overall vacancies have fallen to 700,000, with the level among small employers now 50% lower than the post pandemic peak in 2022.
“Many firms, and SMEs in particular, are holding back from hiring because of higher labour and wider operating costs.
“Our forward-looking data shows employer confidence on hiring intentions at a record low and points to more of the same in the months ahead.
“This highlights the need for Government to work in partnership with employers and take steps to create a more positive business environment that can support jobs and growth.
“The ONS data continues to highlight the scale of the NEET crisis with the unemployment rate among 16-17-year-olds currently recorded as 34%.
“Now is the time for bold action to improve access to work and training opportunities for young people.
“The Milburn Review, expected in the coming weeks, should back the CIPD’s call for an Apprenticeship Guarantee for 16 to 17-year-olds.
“This would help create 20,000 additional apprenticeship places and open more routes into skilled employment.
“Reversing the reduction in the secondary NICs threshold and putting the equalisation of the adult and youth minimum rates on hold, would also help to address the significant numbers of NEETs by easing cost pressures on employers.
“Another way the Government can support job creation is by compromising on its proposed reforms to zero- and low-hours contracts to avoid further reducing employment opportunities, particularly for young people.
“Unless the proposed measures can be made workable, employers won’t respond by moving zero-hours staff onto guaranteed hours, they will simply take on fewer of them.”
Kate Field, global head of human and social sustainability at the British Standards Institution (BSI):
“The September survey shows that the UK is still struggling to keep its workforce fighting fit as economic inactivity driven by long-term sickness has continued to tick upwards to 2,780,000 people, vacancies have fallen further to 702,000 ( their lowest level since 2014 outside of the pandemic), and the Claimant Count is now rising rather than falling.
“Alongside high energy costs, businesses are facing little prospect of relief from the pressures they have been facing this year.
“With vacancies at record lows, the cost of losing an experienced employee to ill health, even if only temporarily, has a significant productivity impact.
“Research conducted by BSI estimates that the UK could generate £5.5bn across the economy annually by adopting simple measures to support employees through physical health challenges. The country can ill afford to ignore this premium.”
